14 DAY TRIAL // A group of five individuals allegedly used stolen personally identifiable information (PII) and false documentation for the purpose of filing fraudulent tax returns seeking $6.6 / €5.78 million in refunds from the IRS.
Four people, all from Marietta, Georgia, have been arrested and face identity theft charges, while an arrest warrant has been issued for the fifth.
Database from data breach used for fraudulent operation
The indictment claims that the group, along with co-conspirators, set up a scheme to receive millions of dollars in refunds from the IRS and the Oregon Department of Revenue.
They are believed to have started the operation since at least the beginning of 2012 and obtained identity data belonging to a total of 125,000 taxpayers, as a result of a data breach at a company that did pre-employment and volunteer background checks.
Apart from personally identifiable information (names, social security numbers), there are allegations that they falsified wages, fraudulently generated electronic filing PINs, created disposable addresses specifically for these purposes, and cashed in the illegal refunds via prepaid debit cards and different bank accounts.
According to the official document, the defendants filed over 980 federal tax returns and received $2 / €1.75 million, the rest being rejected by the IRS.
Defendants risk heavy penalties
The five have been identified as Lateef Aina Animawun (34), Oluwatobi Rueben Dehinbo (30), Oluwaseunara Temitope Osanyinbi (34), Oluwamuyiwa Abolad Olawoye (28), and Emmanuel Oluwatosin Kazeem from Maryland.
If found guilty, the group faces heavy jail penalties of up to 30 years in a federal prison for fraud and conspiracy charges alone.
Each of them has been charged with one count of conspiracy to commit mail and wire fraud, seven counts of mail fraud, six counts of wire fraud, and thirteen counts of aggravated identity theft.
Apart from this, there is a fine of up to $1 million / €876,000 that needs to be paid for fraud and conspiracy.